Malaysia

Sabah assembly approves RM1.6b Supplementary Supply Bill to fund additional spending

The state government insists the allocation reflects prudent fiscal management rather than weaknesses in budget planning

Updated 2 months ago · Published on 22 Jul 2026 9:33AM

Sabah assembly approves RM1.6b Supplementary Supply Bill to fund additional spending
Sabah State Legislative Assembly unanimously approves a RM1.6 billion Supplementary Supply Bill to meet additional operating and development expenditure until the end of the year - July 22, 2026

THE Sabah State Legislative Assembly (DUN) has unanimously passed the Supplementary Supply Bill 2026, paving the way for an additional RM1.6 billion in expenditure to finance government operations and development programmes through the remainder of the year.

Deputy Speaker Datuk Al-Hambra Tun Juhar said the Bill was approved after being debated by 42 assemblymen.

Sabah Finance Minister Datuk Seri Masidi Manjun said the supplementary allocation represents a standard financial mechanism provided for under the government's financial management procedures to accommodate expenditure requirements that could not be fully determined when the annual budget was prepared.

He said the supplementary estimates should not be viewed as evidence of shortcomings in the state's 2026 Budget, which was tabled in December 2025.

"Therefore, the tabling of the Supplementary Estimates at this sitting should not be interpreted as a failure or weakness in the planning of the 2026 Budget presented in December 2025.

"The annual budget is prepared in line with government policies, priorities, revenue projections, expenditure requirements and the best available information at the time.

"In this regard, every request for additional funding must undergo a thorough review and assessment based on actual needs, expenditure performance, the government's financial capacity, and its importance to service delivery and the well-being of the people.

"Accordingly, the Supplementary Estimates tabled today reflect the government's ability to respond responsibly to changing needs while upholding the principles of fiscal discipline, accountability and sound financial governance," he said during his winding-up speech at the assembly sitting yesterday.

When tabling the supplementary allocation on Monday, Masidi said it comprised 53 expenditure heads detailed in the Schedule of the Supplementary Supply Bill 2026.

He said RM856 million had been allocated for contributions to statutory funds, followed by RM278 million for operating expenditure and RM210 million for investment purposes.

The remaining allocation comprises RM162 million for administrative expenditure, RM93 million for domestic grants and RM13 million as a special allocation.

Masidi also said the Supplementary Development Estimates 2026 require an additional RM435.54 million covering 35 expenditure heads under nine ministries.

Of the total, RM216.34 million, or 49.7 per cent, will be financed through the State Consolidated Fund, while the remaining RM219.20 million, or 50.3 per cent, will be funded through Federal Government loans. - July 22, 2026

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